# About Propfunding.com

Propfunding.com is not your typical prop firm.

While most prop firms follow the same outdated formula—charge upfront fees, test traders, and pocket failed evaluation fees. Propfunding.com flips the script with a performance-first, trader-aligned model

#### Our mission is to:

* Eliminate upfront fees and access barriers
* Let trading performance, not payment decide who gets funded
* Use data from every trader to build smarter trading systems
* Make funding more accessible, transparent, and data-powered

#### Why We’re Different:

* **Free to join** — no upfront fee required
* **Pay only after you pass** — activation fees are charged post-evaluation
* **Capped monthly cohorts** — only 10% of traders are funded per round
* **Data-backed model** — every trade powers our  data monetization engine
* **Rollover for top traders** — profitable traders who miss the funding cutoff rejoin next month for free


# Core Contributors

Propfunding.com is backed by a collective of contributors from diverse backgrounds in fintech, trading, and product design. The protocol is governed and maintained by these contributors

#### 🚀 Key Contributors

Shaun Opoku 

Shaun brings a background in proprietary trading infrastructure, market modelling, and fintech entrepreneurship. He previously founded and exited Traders Central and now leads Prime Bridge Securities LLC, the infrastructure provider for PF. Shaun oversees protocol design, market making and ecosystem strategy.<br>

Jose Villarroel

Jose is responsible for building and maintaining the backend of Propfunding.com's technical stack. His work includes developing our internal risk algorithms, managing funded account books, and implementing performance tracking systems to ensure data reliability and pool safety.<br>

Paula Opoku&#x20;

Paula leads core operations of the protocol, designing and managing systems for automated account issuance, client payout processing, and scaling day-to-day workflows. She also supports internal tooling, operations, and partner integrations.

***

> 💬 Questions? Want to get involved?

> Join us in[ Discord](https://discord.gg/8z37khrMA6) and help shape the future of prop funding.


# How the Model Works

At Propfunding.com, we’ve reimagined prop trading by removing upfront fees and turning every trader’s activity, pass or fail into system-wide value.

Instead of relying on challenge fees or centralized firm capital, our model is powered by **data**, **performance**, and a **scalable evaluation system**.

#### Evaluation & Funding Flow:

1. **Free Entry:** Traders join our two-step challenge at no cost, only one account per cohort is allowed per user.
2. **Live Evaluation:** All traders start at the same time under standardized rules and account sizes.
3. **Data Monetization:** Every trade feeds our internal algorithmic models powering live LP accounts.
4. **Funding Allocation:** Only the top 10% of traders per cohort are funded, on a first-pass, first-funded basis.
5. **Free Rollover:** Profitable traders not funded this round are auto-enrolled into the next month’s cohort.
6. **Post-Pass Activation Fee:** Only those who pass and pay a one-time activation fee to go live.

#### Key Benefits:

* **No Upfront Risk:** Traders can prove themselves without paying a cent upfront.
* **Every Trade Counts:** Win or lose, each trader adds value to our data systems.
* **Sustainable Model:** Our algos use live trader behavior to drive performance on LP accounts.
* **Scalable Funding:** The more traders that participate, the more efficient and profitable the system becomes.


# Key Differences from Traditional Prop Firms

While most prop firms follow the same outdated formula; charge upfront fees, test traders, and pocket profits. Propfunding.com flips the script with a performance-first, trader-aligned model.

| Feature                 | Traditional Prop Firms | **Propfunding.com**                                         |
| ----------------------- | ---------------------- | ----------------------------------------------------------- |
| **Capital Source**      | Internal firm capital  | Live LP accounts powered by trader data                     |
| **Fee Usage**           | Retained by firm       | Paid after passing                                          |
| **Risk Management**     | Firm absorbs risk      | Risk offset through LP algo models trained on trader's data |
| **Transparency**        | Centralized, opaque    | Data monetization performance is openly shared              |
| **Incentive Alignment** | Firm vs Trader         | **Pass-first model,** only successful traders pay           |

This approach allows Propfunding.com to scale sustainably, reward performance, and **turn failed trades into system-wide value,** without ever charging traders up front.


# One Step Plan

The One Step Plan is a streamlined path designed for experienced traders who prefer a single stage evaluation. The rules are simple, the objectives are clear, and the focus is on showing consistent, disciplined trading without unnecessary hurdles.

***

#### Rules Overview

* Profit Target: 10%
* Daily Drawdown Limit: 4%
* Maximum Loss Limit: 6%
* Minimum Trading Days: 5
* Leverage: 1:30

***

#### **Activity Requirement**

* You must place at least one trade within 7 days of your cohort start date.
* After that, you must place at least one trade every 30 days to keep the account active.
* Inactive accounts will be closed and voided.

*Example : Last Trade:*

January 1st, 2025 at 11:15:32 AM

Inactivity starts counting from:

January 2nd, 2025 — this is considered the first elapsed day.

If no trade is placed by Jan 8th, 11:15:32 AM, a breach will be triggered.

***

#### **Activation fee cost (paid once you pass)**

$10k account - $125\
$25k account - $250


# Two Step Plan

The Two Step Plan is the standard evaluation path designed for traders who want a structured progression toward funding. This plan balances challenge and flexibility, giving traders two clear milestones to demonstrate consistency, discipline, and risk control under realistic trading conditions.

***

### **Rules Overview**

**Step 1 Rules:**

* Profit Target: 8%
* Daily Drawdown Limit: 4%
* Maximum Loss Limit: 8%
* Minimum Trading Days: 5
* Leverage: 1:50

**Step 2 Rules:**

* Profit Target: 4%
* Daily Drawdown Limit: 4%
* Maximum Loss Limit: 8 percent
* Minimum Trading Days: 5
* Leverage: 1:50

***

### **Activity Requirements**

These apply across both steps:

* You must place at least one trade within 7 days of your cohort start date.
* After that, you must place at least one trade every 30 days to keep the account active.
* Inactive accounts will be closed and voided.

*Example : Last Trade:*

January 1st, 2025 at 11:15:32 AM

Inactivity starts counting from:

January 2nd, 2025 — this is considered the first elapsed day.

If no trade is placed by Jan 8th, 11:15:32 AM, a breach will be triggered.

***

#### **Activation fee cost (paid once you pass)**

$10k account - $75\
$25k account - $150


# Simulated Live Stage

You’ve passed the challenge, proven your consistency, and now—you’re trading with full profit ownership while adhering to structured risk management. The Simulated Live Stage is designed to evaluate your ability to sustain profitability while managing risk responsibly within a simulated environment.

**The Rules:**\
\
**One Step**

* Daily Loss Limit: 4%
* Maximum Loss Limit: 6%
* Leverage: 1:30<br>

**Two Step**

* Daily Loss Limit: 4%
* Maximum Loss Limit: 8%
* Leverage: 1:25

#### Withdrawals:

* First withdrawal unlocks after 30 days.
* Subsequent withdrawals available every 14 calendar days.
* 80% profit share—it’s all yours to keep (blockchain transfer fees apply).

At this stage, traders transition from qualification to actively managing their performance under real market conditions in a simulated environment while securing their earnings. Trade wisely, protect your simulated capital, and maximize your profitability.

<br>


# Trading Objectives Definitions

**Daily Loss Limit**

The maximum amount of loss a trader can incur within a single trading day before their account is restricted. Exceeding this limit results in immediate suspension to prevent excessive drawdowns.

Example:

Traders are permitted to lose up to 4% of their initial account balance as their Daily Loss Limit.

For instance, if a trader starts with an initial balance of $100,000, their Daily Loss Limit is $4,000.

* This limit does not change, whether the trader is in profit or has previously incurred losses.
* At any point during the day, if the total running and closed losses exceed $4,000, it will be considered a violation of the Daily Loss Limit.

**Maximum Loss Limit**

The total allowable loss a trader can experience over the lifetime of the account. If this limit is breached, the account is terminated, ensuring risk is controlled across all trades. This limit refers to the maximum capital a trader is allowed to lose based on the initial balance.&#x20;

**Minimum Trading Days**

The minimum number of separate trading days required before advancing in a challenge or verification phase. This ensures traders demonstrate consistency over time rather than achieving results in a single session.

**Profit Target**

The predefined profit percentage a trader must reach to successfully complete a challenge phase. This serves as a benchmark for evaluating trading performance.<br>


# Disallowed Strategies

At PropTrading.Fun, we prioritize fairness, sustainability, and responsible trading. To maintain a stable trading environment, certain high-risk or exploitative strategies are strictly prohibited. These methods often increase risk exposure, manipulate market conditions, or overload trading systems, making them unsuitable for our funding model.

{% content-ref url="/pages/ZvpcK64yL2dcTdM9p7ci" %}
[High-Frequency Trading (HFT)](/disallowed-strategies/high-frequency-trading-hft)
{% endcontent-ref %}

{% content-ref url="/pages/2p9t8E2x0j7Jcb3CoCot" %}
[Profit Surge Cap](/disallowed-strategies/profit-surge-cap)
{% endcontent-ref %}


# High-Frequency Trading (HFT)

HFT relies on executing thousands of trades per second using automated algorithms to capitalize on small price movements. While effective in institutional settings, it overloads trading servers and disrupts liquidity flow in simulated environments.

* **Why it's banned:** The strategy creates artificial volatility, strains platform infrastructure, and does not align with sustainable trading practices.

### Other Prohibited Strategies

* **Account Sharing:** Using multiple identities to own more than one account per cohort
* **Multi-Account Hedging** — Owning two or more accounts and placing opposing trades across them (e.g., buying EUR/USD in one account while selling it in another) as a way to bypass challenge rules and manipulate pass rates.
* **Account Sharing or Passing Programs -**  Allowing others to trade on your behalf or participating in programs that offer to pass the evaluation for you
* **Use of Masked Expert Advisors (EAs) -**  Using commercially available EAs without proper disclosure or attempting to hide their usage is forbidden.
* **Copy Trading and Signal Services -**  Relying on third-party signal services or copying trades from other traders undermines the evaluation of individual trading skills and is not permitted.

Multi-account hedging distorts real trading evaluation and goes against the spirit of skill-based trading. Any accounts detected engaging in this practice will be subject to immediate disqualification.

By enforcing these rules, we ensure a level playing field where traders can succeed based on skill, strategy, and risk management—not loopholes or exploitative tactics.


# Profit Surge Cap

To promote consistent and responsible trading during evaluations, a Daily Profit Cap has been implemented:

* Up to 40% of the total profit target for the 2 Step Plan (8% and 4% targets)
* Up to 30% of the total profit target for the 1 Step Plan (10% target)

***

#### 📌 Rule

A trader may not exceed the percentages below of their overall profit target in a single 24 hour period.

**Two Step Plan**

* **Phase 1:** Max daily profit = **3.2%** (40% of 8%)
* **Phase 2:** Max daily profit = **1.6%** (40% of 4%)

**One Step Plan**

* **One Step:** Max daily profit = **3%** (30% of 10%)

This rule helps ensure that traders demonstrate sustainable trading practices instead of relying on one high risk day followed by minimal or no trading activity.

> ❗ If a trader's account balance is below the starting amount, the profit cap rule will only apply once they return to breakeven or above.

***

#### ✅ Examples – $100K Accounts

**Two Step Plan**

**Phase 1**

* Profit Target: **$8,000**
* Max Daily Profit Allowed: **$3,200** (40% of $8,000)

**Phase 2**

* Profit Target: **$4,000**
* Max Daily Profit Allowed: **$1,600** (40% of $4,000)

**One Step Plan**

* Profit Target: **$10,000**
* Max Daily Profit Allowed: **$3,000** (30% of $10,000)<br>

🚦 Enforcement Logic

| Offense | Outcome                                  |
| ------- | ---------------------------------------- |
| 1st     | Account is reset to the starting balance |
| 2nd     | Evaluation is violated and terminated    |

Our risk system monitors this automatically and will take appropriate action without manual review.<br>

**🔍 Why This Rule?**

This rule targets strategies where a trader hits the majority of the profit target early using aggressive tactics, then trades 0.01 lot sizes just to fulfill minimum day requirements.

We want to fund skilled and consistent traders, not gamblers.

#### 🛠️ Applies To

| Phase  | Applies? |
| ------ | -------- |
| One    | ✅ Yes    |
| Two    | ✅ Yes    |
| Funded | ❌ No     |


# Evaluation Flags & Review Process

At Propfunding.com we maintain a **rigorous tracking system** that actively monitors trader performance, ensuring **fairness, transparency, and compliance** with our trading rules. Our system detects patterns that could indicate **prohibited strategies** or **group trading behaviors**, flagging accounts for further review when irregular activity is identified.

**Flagged Strategies & Prohibited Behaviors:**

To maintain integrity in our funding model, the following strategies are **actively monitored and restricted:**

* **High-Frequency Trading (HFT)** — Executing an excessive number of trades in short timeframes to manipulate execution speeds.
* **Group Trading** — Accounts that mimic trades across multiple profiles, suggesting coordinated market manipulation.
* **Multi-Account Hedging** — Owning two or more accounts and placing opposing trades across them.

**Review & Action Process:**

When an account is flagged, our compliance team conducts a **manual review** to verify whether the detected activity violates our trading policies.

* If **no violations** are confirmed, the flag is **removed**, and the trader continues normally.
* If a **breach is identified**, the trader may be subject to **account suspension, payout restrictions, or other corrective actions**.

This evaluation system ensures **a level playing field** for all traders while reinforcing **ethical trading practices** within our community-backed funding model.


# Account Sizes & Fees

Choose the account size that fits your trading style. All evaluations start with **free entry,** you only pay when you pass.

#### **Available Account Sizes & Post-Pass Activation Fees:**

* **$10,000 Account** → **$125 activation fee**
* **$25,000 Account** → **$249 activation fee**

***Coming Soon***

* **$50,000 Account** → **$499 activation fee**
* **$100,000 Account** → **$999 activation fee**

***

You trade. You pass. Then you pay to unlock your funded account.


# Allowed Instruments & Leverage

At Propfunding.com, traders have access to a carefully selected range of instruments that provide liquidity, volatility, and strategic trading opportunities.

**Allowed Instruments:**

* **Stage 1:** Forex majors and select minors pairs on MT5.
* **Stage 2:** Gold, US30, Forex majors and minors pairs on MT5.
* **Funded:** Gold, US30, Forex majors and select minors pairs on MT5.

**Leverage:**

* **Step 1 & Step 2** → 1:50 leverage for enhanced trade efficiency while maintaining risk control.
* **Simulated Live Stage** → 1:25 leverage, ensuring balanced exposure during the funded trading phase.

This structure ensures traders have access to high-quality instruments with risk-conscious leverage levels, allowing for strategic execution without excessive exposure.


# Commissions & Swaps

**Commissions**\
Metals - $7 per lot round turn\
FX - $7 per lot round turn

**Swaps Policy**

&#x20;Swap fees are applied to replicate live market conditions.

<br>


# Payout Process

Traders receive 8**0% of their profits**, ensuring majority ownership of their earnings while maintaining **risk transparency**.

**Withdrawal Rules:**

* First withdrawal unlocks after 30 days.
* Subsequent withdrawals available every 14 calendar days.
* Withdrawals are capped at 10% profit per month.
  * Excess profits will not roll over to the next withdrawal window.
  * Upon withdrawal, the trading account balance resets to its initial starting amount.
* Blockchain network transfer fees apply, and traders are responsible for covering the applicable transaction costs based on their selected cryptocurrency and network.
* Traders must not have engaged in prohibited strategies to qualify for payouts.

**How to Request a Withdrawal:**

1. Click the **Request Withdrawal** button.
2. Insert the **amount** to withdraw (within the capped limit).
3. Select the **preferred cryptocurrency** for withdrawal and its **network**.
4. Enter the **wallet address** for payout.
5. Complete the **KYC** verification process (**for first-time withdrawals**).
6. Hit the **Submit Request** button to finalize.

Additionally, traders can request a **withdrawal certificate** to showcase their achievements and share on social platforms.


# Overview

PropArena is PropFunding’s in-house trading environment that lets users trade synthetic assets, earn $PROP tokens, and redeem them for real platform rewards.

The arena is open 24/7 giving traders a way to stay active, compete, and progress while waiting for the next cohort intake.

What you can do:

* Trade synthetic assets like Gold.pf and BTC/USD.pf
* Earn $PROP from winning trades
* Redeem $PROP for funded accounts, discount codes, or guaranteed cohort spots

[Arena v1 is now live.](https://propfunding.com/arena)\
\
Get **500 $PROP** on your first Arena entry. Anytime your balance hits zero, we auto-replenish **250 $PROP.**


# How the Arena Works

The first Arena game is called **Turbo Options;** it is designed for quick trading rounds using synthetic assets modeled from live market data.

Step 1 — Enter the Arena\
You can access the Arena [here](https://propfunding.com/arena)

Step 2 — Trade Synthetic Assets\
You can trade Gold.pf and BTC/USD.pf (price feed is real-time)\
Trades use $PROP.\
Rounds last 30 seconds to 1 minute.

Step 3 — Earn $PROP\
Each winning trade pays up to 80% in $PROP.

Step 4 — Redeem Rewards\
Redeem $PROP for:

* Discount codes (10%, 20%, 30%)
* Funded accounts ($10K or $25K)
* Cohort spots (guaranteed entry)

### Rewards System

Discount Codes\
10% Discount — 1,000 $PROP\
20% Discount — 2,000 $PROP\
30% Discount — 3,000 $PROP

Funded Account Access\
$10,000 Account — 5,000 $PROP\
$25,000 Account — 10,000 $PROP

Cohort Spot\
Next Cohort Guaranteed Entry — 1,000 $PROP


# Rules & Fair Use

Encoded Trading Rules

* Rounds: 30 seconds, 60 seconds and 5 minutes
* Only a max of two trades can be placed at a time
* Payouts: Up to 80% in $PROP
* Instant settlement
* Fixed-round prediction model
* Only 50 $PROP can be risked per trade

Fair Use

* No bots or auto-clickers
* No latency exploits
* Abuse results in $PROP forfeiture
* Cross trading between multiple accounts is not allowed

### FAQs

**What is the Arena?**\
An in-house trading platform where traders earn and redeem $PROP for rewards between cohort entries.

**What can I redeem $PROP for?**\
Discounts, funded accounts, and guaranteed cohort spots.

**Does the Arena affect my evaluation challenge?**\
No. It’s separate and optional.

**Is $PROP a crypto token?**\
No. $PROP is an in-ecosystem reward currency, not a blockchain asset.\
\
**What docs do i need to activate my funded account?**\
We will require a proof of ID and proof of address


# What It Does

The Data Engine is the core infrastructure that powers everything at Propfunding.com..

Rather than relying on upfront challenge fees or firm-owned capital, we monetize **trader behavior itself**—transforming every trade into valuable signal data that feeds our live LP models.

It’s a decentralized payout model, designed to make the prop journey more sustainable, transparent, and community-driven.&#x20;

**How It Works:**

Each trade, whether profitable or not flows into our internal systems, where it helps refine and optimize algorithmic strategies across multiple liquidity partner accounts. This real-time feedback loop allows us to generate sustainable returns and fund traders **without requiring upfront payments**.


# Payout Backing Mechanism

At PropTrading.Fun, all payouts are powered by the Community Payout Pool and backed through a mix of internal hedging and exposure control.

To keep the pool sustainable, we:

* Score traders post-evaluation and apply selective hedging
* Use risk management tools to cap payout risk from high-volatility behaviour
* Limit monthly passes to live with drawdown exposure control through our Live Funding Framework

Read more:&#x20;

{% content-ref url="/pages/tx4OWh39RGx54LnggkWi" %}
[Monthly Profit Cap (10%)](/data-engine/payout-backing-mechanism/monthly-profit-cap-10)
{% endcontent-ref %}

{% content-ref url="/pages/naJCN4ssyO4obaoBzFpW" %}
[Live Funding Capacity](/data-engine/payout-backing-mechanism/live-funding-capacity)
{% endcontent-ref %}

{% content-ref url="/pages/DBbcOiLCzks1hD9aGGpE" %}
[Risk Management Strategies](/data-engine/payout-backing-mechanism/risk-management-strategies)
{% endcontent-ref %}


# Monthly Profit Cap (10%)

To preserve the model while rewarding consistent performers, we apply the following payout controls:

**Monthly Profit Cap (10%)**

Each funded trader is subject to a maximum 10% profit cap per calendar month.

* Once the trader reaches 10% profit relative to their account size, the account is automatically disabled.
* Trading resumes at the start of the next calendar month.
* This cap is enforced to prevent a small number of traders from draining the pool disproportionately.

> Example: On a $50,000 account, once $5,000 in simulated profit is hit for the month, trading is paused until the 1st of the following month.


# Live Funding Capacity

Propfunding.com uses a capped cohort model to control how many traders get funded each month. Instead of relying on hidden rules or internal capital limits, **we fund the first 10% of traders to pass each evaluation cohort**.

***

#### 🔄 Monthly Cohort Structure

* Each month, a **fixed number of free-entry slots** (e.g. 50–100) are opened to traders.
* All traders start the two-step challenge at the same time.
* The **first 10% to pass** the full evaluation are offered live funded accounts.
* Once funding slots are filled, **no additional traders are funded** and the challenge ends for the cohort

***

#### 🔁 What Happens If You're Profitable But Not Funded?

If you passed the evaluation but weren't in the first 10% to finish:

* You’re **automatically re-entered into the next month’s cohort** at no cost.allows.

***

#### ✅ Why We Use This Model

* Keeps risk and account allocation controlled
* Rewards speed and consistency — **first-pass, first-funded**
* Enables predictable growth as cohorts scale
* Makes the model sustainable without upfront fees or pooled capital limits

***

#### 📊 How Can I Track These Stats?

In your[ Dashboard](https://propfunding.com/) or in the #Stats [Discord channel ](https://discord.gg/8z37khrMA6)server


# Risk Management Strategies

We employ a few other risk strategies to ensure sustainability of the model.

Abnormal Behaviour Handling

To protect the system, Propfunding.com reserves the right to:

* Suspend or audit accounts showing unusual risk patterns
* Disable payouts pending review
* Adjust pass rate ceilings in case of extreme market conditions